According to a June 24th article provided by Axios*, 23% of Americans have no emergency savings. This is a seven-year low and people are saving at the same amount as they were in 2010. In addition, a recent survey by bankrate.com reports that nearly 20% of Americans surveyed say they have zero savings and only 22% of millennials have six months saved in an emergency fund. Debt continues to mount up and is one of the biggest concerns for 68% of millennials**. Along with student loan repayments, credit card debt is a big concern for millennials.
What does all this mean? Do you have millennials in your market? If you are building your customer base and providing more loans for millennials, consider how this information may impact their ability to pay their loan in the event of a disability. Many single millennials, due to their age, believe they won’t need Life Protection and many believe the Disability Protection makes their payment too high.
If we examine the numbers above, it’s evident that the millennial market has a great need to protect their debt in light of the fact that many are just starting to pull themselves out of student loan debt and building their credit.
Take the millennial customer to the future; explain how protecting their loan with Payment Protection, today may put them in a better financial position, tomorrow, allowing them to get their next car, purchase a home, invest in a new business or think about retirement. Use the communication tools they use, social media, text, mobile devices, to show them how the cost of Payment Protection compares to individual insurance rated products and how protecting their loan is a good piece of their financial strategy.
*Axios: American news and information website
**Poll by Kickstand with Hometap.